Vodafone Experiences Slower Decline in Television Subscribers

Vodafone has reported a significant reduction in its television subscriber base, although the rate of loss has notably slowed. The telecommunications provider revealed that in the last quarter of 2024, the number of TV customers decreased by 66,000, bringing the total to approximately 8.83 million. This decline follows a much steeper drop from over 12 million subscribers a year prior.

This trend is largely attributed to a legislative change that took effect in mid-2024. Until June of that year, landlords were permitted to pass on television connection costs to tenants through their service charges, irrespective of the tenants' preferences. This arrangement previously gave Vodafone a competitive edge in the market, particularly against rivals such as Deutsche Telekom.

However, with the repeal of this so-called 'service charge privilege' on July 1, 2024, the dynamics of the market have shifted considerably. The summer quarter saw an alarming loss of 2.2 million customers due to this change. In contrast, the latest quarterly figures indicate a much more modest decline, suggesting that the worst may be over for Vodafone.

According to Vodafone's Germany CEO, Marcel de Groot, the company has nearly stabilized its TV subscriber base, asserting a commitment to retain more than half of the affected customers. Despite this, the overall service revenue in Germany fell by 6.4% to EUR2.71 billion in the last quarter of 2024, primarily due to the downturn in the television segment.

As Vodafone continues to navigate the evolving landscape of the television market, the company remains focused on adapting its strategies to meet the challenges posed by regulatory changes and intensified competition.